IBM privacy policy draws industry cheers

AUTHOR(S)

Maddox, Kate; Johnson, Bradley; Gilbert, Jenny; Krol, Carol

PUB. DATE

April 1999

SOURCE

Advertising Age;4/5/1999, Vol. 70 Issue 15, p32

SOURCE TYPE

Trade Publication

DOC. TYPE

Article

ABSTRACT

This article reports on positive reactions by the online industry on a plan by IBM Corp. to withhold advertising dollars from North American sites that do not post privacy policies, as of April 1999. Number 2 Internet adviser IBM said it will spend its $60 million Web-advertising budget only on sites that display a clear statement on privacy, effective June 1. Web advertising now represents 10 percent of the total media budget of IBM. The stance of IBM could boost its efforts to sell electronic business products and services, if it can stake an early claim as a leader on the issue. To accomplish this goal, FAST in February endorsed recommendations of the Online Privacy Alliance, a coalition of companies including America Online, IBM, Microsoft Corp. and Yahoo! For now, IBM is holding off putting the advertising policy into effect in Europe since the European Union is in the midst of developing Web privacy directives.